You cannot afford to go wrong with the figures in the financial segment of your business plan. If the numbers are wrong or contradictory in any manner, it can render the entire plan incoherent.
A business plan is packed with information. It highlights the product or service of the enterprise, the mission and objectives of the business, the customer demographics, market structure and competitor profiles, marketing and sales strategies, the organizational configuration and staffing requirements, and so on.
However, when I have to actually write my business plan, the focal point will obviously be on the financial section. It forms the meat of the business plan as it focuses on the monetary aspects of the business.
This is where I will state my sources of funds and also bring my funding requirements to the fore. The financial projections will take center stage in the form of costs, expenses, cash flow, profit and loss statements, etc. These projections can be monthly or annual but should extend for a period of 3 to 5 years.
Framing the financial segment of the business plan calls for a lot of care and caution. I cannot afford to go wrong with the numbers in any manner whatsoever. For instance, the plan cannot state that the financial requisites are $25 million in one section, but have the costs and expenses projections totaling up to $25.5 million in another. In the same vein, the plan cannot establish a staff requirement of 15 but allocate salaries and benefits only for 12.
These types of glaring errors will rub investors and lenders the wrong way. They pay particular attention to the financials and can spot mathematical inconsistencies very easily. This will throw doubts on both your legitimacy and competence and can cause investors to reject the proposal outright.
This is why it’s best to entrust the crucial task of writing my business plan to professional business plan consultants. Take The Plan Writers (https://planwriters.com) for example. The expert team will frame a comprehensive and compelling business plan, even as they keep a careful eye out for inaccuracies in the financials. They will ensure that all figures match up properly to present a consistent and accurate financial picture.
